Task 1. Consider the following data for the country United States whose currency is dollar (all monetary figures are given in billions of dollars): - Consumption when disposable income is zero dollars is 600 - For every dollar in disposable income increases, consumption increases by 0.7 dollars - Proportional tax rate (t) is 0.25 - Income-independent transfers (Tr) are 75 - Investments (I) are 600 - Public consumption and investment (G) is 800 - Export (X) is 1,200 - Autonomous import (0) is 800 - If the country's GDP increases by one shekel, imports increase by 0.2 Dollars

a (1p). How much do transfers change if disposable income changes by one dollar? Why? b (8p). How many dollars is the country's GDP; disposable income as well as public financial savings in equilibrium? Also calculate the multiplier. Include two decimal places if necessary. c (1 p.). True or false? "For every dollar that GDP increases, the expenditure targeted increases US's goods and services with 0.4 dollars